New Delhi: Dixon Technologies (India) Ltd’s declared a net profit of Rs.401 crore for the quarter ending March 25, an almost quadruple rise from the Rs.97 crore profit for the same quarter last year. This stellar performance beat analyst’s expectations, as the company has boosted its operational efficiency in line with demand.
Revenues rose 121% from Rs.4,658 crore to Rs.10,293 crore Y-o-Y. Earlier this year, this Noida-based electronics manufacturer announced a Rs.5 dividend, offering a dividend yield of 0.03%.
With assistance from the government’s Production Linked Incentive (PLI) scheme, the company has been expanding manufacturing partnerships with Original Equipment Manufacturers (OEMs).
It has ramped up production of mobile components, even as its TV assembly business hasn’t done well in quite some time. The company also aims to boost production by 50%, as the company aims for exports to Africa and North America.
Despite the company’s stellar results, analysts’ recommendations on the stock remain mixed, with the primary concern being that the stock is overvalued. Despite this, investors are optimistic of the company’s performance, especially due to the government’s Make-in-India push and rising mandates for domestic sourcing.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
